1 / 26

FTB/CSEA Liaison Meeting

FTB/CSEA Liaison Meeting. September 17, 2004. e-Programs Update. Franchise Tax Board. Overview. Mandatory e-file Update Pro Forma Filing Pilot All the details. e-file Program - Growth. Mandatory e-file Update. Effective January 1, 2004

uriel
Télécharger la présentation

FTB/CSEA Liaison Meeting

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. FTB/CSEA Liaison Meeting September 17, 2004

  2. e-ProgramsUpdate Franchise Tax Board

  3. Overview • Mandatory e-file • Update • Pro Forma Filing Pilot • All the details

  4. e-file Program - Growth

  5. Mandatory e-file Update • Effective January 1, 2004 • Mandates practitioners who prepared more than 100 returns, at least one of which was prepared using computer software, to e-file

  6. New Tax Practitioner Increase 12,689 16,112 23,882 38,682Number of Accepted Practitioners

  7. Mandatory e-file Nationwide

  8. Recent FTB survey shows: • Majority of tax practitioners are satisfied or very satisfied with e-file • 67% agree that e-file is easy • Majority indicate that clients benefit from e-file • Many indicate handling rejects can be difficult • Some indicate that e-file should not be mandated

  9. Approach to Enforcement: • Focus on willfully noncomplying practitioners • Sending reminder letters to noncomplying practitioners in late October • Visiting noncomplying practitioners • Publishing articles regarding the mandate

  10. Mandatory e-file Resources • Dedicated Web page for mandatory e-file • FAQs (updated regularly) • Legislative actions • Copies of notices in Spanish • Letter from FTB to give to your clients

  11. Pro Forma Filing Pilot

  12. What Is Pro Forma Filing? • Pro Forma return filing is a tax concept designed to reduce taxpayer burden for taxpayers filing the simplest California returns. • Current concept applies to: • Wage earners only • Single • No dependents

  13. Benefits of Pro Forma • Reduce taxpayer burden • Provide taxpayers online, secure and private access to their tax data

  14. Benefits of Pro Forma • Reach taxpayers who qualify for refunds who are not otherwise claiming them • Reach certain non-filers and get them into the routine filing process

  15. Other Pro Forma Experiences • Successful variations of pro forma filing in several countries including: • Germany • Japan • Denmark • Sweden

  16. Other Pro Forma Experiences • The IRS has studied pro forma filing and found: • Surveys indicate taxpayer support, however • IRS information systems cannot provide the data needed on a timely basis

  17. EDD Information • FTB routinely receives and processes EDD wage information, which makes us perfectly suited for a pro forma filing program

  18. How Will Pro Forma Work? • FTB will select a group of taxpayers to participate in the program, who must be: • Single • Have no dependents, and • Have one employer

  19. FTB Will: • Provide selected taxpayers with an invitation to participate • Two versions of the invitation: • Letter and completed return • Letter only

  20. The Taxpayer: • May choose to: - accept the return, as presented - make minor modifications - come to FTB’s Website to file or modify the return and file it - ignore FTB’s invitation

  21. The Taxpayer: • Will enter SSN* and signature (on the the paper return or online) • Indicating that all their tax data is true and correct under penalty of perjury • *In compliance with SB 25, SSN will not be preprinted on the letter or return. • SB 25 mandates that state agencies will not publicly post or display an individual’s SSN or compromise the security of an individual’s SSN.

  22. Why a Pro Forma Pilot? • Ability to deploy and test pro forma filing concept by February 2005 • Test taxpayer response to our new program • Make recommendation to our Board after studying pilot results

  23. Future Benefits • Provide more taxpayers and their authorized representatives with online, secure access to wage and withholding data

  24. Pro Forma Volumes • FTB would like about 10,000 participants, resulting in a statistically valid study • To achieve this, FTB may invite up to 50,000 taxpayers to participate who qualify to file a simple return

  25. Cost • The cost to deploy the Pilot is about $200,000 • No requests for new funding • Leverage existing FTB systems to accommodate pro forma filing

  26. Thank you!Cathy CleekChief, Filing Division916.845.6396cathy.cleek@ftb.ca.gov

More Related